Who Thinks This Will Be $3 By The End Of Week In ND?

Gas Prices are Expected to Jump

With the United States now involved in a Middle East conflict with Iran, experts warn that gas prices are expected to rise significantly over the next few days. Currently, in Bismarck-Mandan, most gas stations are between $2.59 to $2.69 for a gallon of gas. That price may seem like a bargain in the coming weeks.

According to an article on CNN, the attacks on Iran have already sent gasoline prices higher, and significant increases are likely coming soon. According to AAA, the average price for a gallon of gas is just under $3.00 in the United States (significantly cheaper in North Dakota), but with world oil markets set to post their biggest one-day gain in years today (Monday, March 2nd), you can expect prices to rise significantly.

How High Could Gas Prices Go?

In the article, we have two things working against us if you like lower gas prices. One, refineries are switching over to the more expensive spring/summer blend of fuel, and now the war with Iran is complicating matters further.

In the article, one expert says prices could increase 5 to 10 cents a day for a while. One station mentioned in the article has already increased its prices by 25 cents. In a normal year, gas prices typically start to climb in April because of increased seasonal demand, but the war with Iran will accelerate those increases. At this point, it's too soon to know how high prices will go.

Strait of Hormuz

Another factor to consider when it comes to long-term gas prices will be the flow of traffic through the Strait of Hormuz, which is a narrow channel off of Iran's southern coast where 20% of the global oil supply moves. Currently, boat traffic through the strait is at a standstill.

If Iran decides to target oil infrastructure in other oil-producing countries with their bombing campaign, this could also affect future prices.

Many factors could decide the price of gas in America in the coming months. In the meantime, I would fill up your gas tanks soon.